What is Cryptocurrency?
Cryptocurrency is a digital currency. It is a form of money that exist only in electronic form. There are no physical coins or notes. The physical currency you normally use is also called fiat currency. For those using mobile payments systems in Africa such as M-Pesa or Airtel Money, when you have a balance in your phone, that is money in an electronic form. You do not have physical coins or notes but still you can use it to make payments for goods and services.
The most notable cryptocurrency is called Bitcoin. There are many other digital currencies which have emerged after Bitcoin such as Litecoin, Dogecoin and Ethereum. They are called cryptocurrencies because they are created using cryptography technology to make them secure. Cryptography is a technology which makes information to be kept secret. So the word cryptocurrency is made from two words: Cryptography and Currency. Crypto coin is also another name for a cryptocurrency. That is a digital coin made through cryptography technology. Yo may sometimes find that some cryptocurrencies are called coins and others are called tokens. Don’t worry. In simple word, coins are meant to act as money but tokens can act as money and also perform other functions such as represent company’s shares. Tokens and coins are both created using cryptography. They are both regarded as cryptocurrencies. The subject of this website is a token named PesaPepe, in short PEP, and is a token intended to act as money.
If you use a mobile payments system you know that your money is stored in your mobile phone account number. Cryptocurrencies are stored in what is known as a wallet. A cryptocurrency wallet or sometimes also calles wallet address is a long string of letters and numbers. Here are some examples:
Bitcoin wallet- 15VGDsi4myXypvvL3iU1dS4qxQ7SJim4ur
Dogecoin wallet- DCP8krq4qrT3JxC33UeDqJif3WUZe9tMbT
Litecoin wallet- LW5JkZgDa7HmFmjiJ2KhVGDGLSGYvZWwxn
Ethereum wallet- 0xcda32206d9b62a55fb1db4c36ded513d47e7ccd3
These wallets are available for free and you can download them from the internet as an App for example from Google Play Store or you can install them in your computer if you have one. There are even wallets which come in the form of an electronic device something like your USB stick.
Cryptocurrencies are not issued or controlled by governments or banks. They are created by software developers and are supported by computer networks. There is no central authority controlling any cryptocurrency. There is even no single person in control. Not even the person who created a cryptocurrency. This is why they are called decentralized currencies.
Several cryptoicurrencies have been adopted as a mode of payments by businesses worldwide. This makes the value of these coins to grow day by day. If you have Bitcoins you can buy almost anything. The value of bitcoin when it first appeared in 2009 was about ten cents of a dollar ($0.10). As the adoption of Bitcoin increased its value sky rocketed. By the time I am writing (September 2018) the value of one Bitcoin is over $6000!!There is a famous story of a man named Laszlo from Florida, USA who in the year 2010 bought two Pizzas fro 10,000 Bitcoins. By then they were worth about $40. Imagine what he paid in today’s value of bitcoin. Over $80 million!!
So how can someone get these cryptocurrencies? One way is to do what is called mining. Simply put, it is a way to use powerful computers to support the network of a particular cryptocurrency to confirm transactions and get rewarded with coins. Since this website is intended for beginners and non-tech people, we will not go into details on this. There are already numerous resources available in the internet and anyone who wants to go further can simply find them. The Other way to get cryptocurrency is to buy them from an exchange. There are exchanges such as www.yobi.net, www.bittrex.com, www.binance.com which deal with cryptocurrency and you can do everything online. Unfortunately for most exchanges you must first have bitcoin in order to buy other cryptocurrencies. To buy bitcoins you oincan go to www.localbitcoins.com and check who is selling bitcoin in your country or area. You can buy online or in-person. You have to sign up with an exchange to be able to trade coins. You can think of these exchanges like the well known Bureau de Change where you buy and sell your fiat currency.There are also sites selling cryptocurrencies online where you can pay using credit or debit card but prices are higher and this service is not available in all countries.
There are also some websites giving small amounts of coins (fractions of coins) if you do some tasks but they are not worth the time you spend there. They are called faucets. There are also promotions called airdrops for new cryptocurrencies to help make them popular where you can join and do some tasks to get some coins sent to your wallet address.
Now thay you have some ideas about cryptocurrency, head over to PEP Token page and see how this cryptocurrency is going to take you into the game. You just need a phone with internet. If you can use WhatsApp or Facebook and you know Email then you are not far from a huge success. Welcome aboard!